Showdown in Warsaw: Poland’s Parliament Re-Approves Contested Crypto Bill

Poland’s lower house of parliament, the Sejm, has once again passed a controversial cryptocurrency bill, setting up a fresh confrontation with President Karol Nawrocki. Despite the President vetoing the exact same legislation just weeks ago, lawmakers approved the measure on Thursday with a 241 to 183 vote. The bill now moves to the Senate for further review.

A Push for EU Compliance

The legislation is intended to bring Poland into alignment with the European Union’s Markets in Crypto-Assets (MiCA) framework. While all EU member states are required to implement these rules by July 2026, Poland currently stands as the only nation in the bloc without a national framework to support them.

The government argues that this regulatory gap leaves Poland’s domestic market vulnerable to fraud, abuse, and external interference.

Key Provisions and Penalties

If enacted, the bill would significantly tighten the state's grip on the digital asset sector. Major changes include:

• KNF Oversight: The Polish Financial Supervision Authority (KNF) would become the primary regulator for crypto-asset service providers.
• Licensing Requirements: Exchanges and custodians would be required to meet strict capital standards and obtain formal licenses.
• Stiff Penalties: The KNF would have the authority to issue fines reaching 10 million zlotys and pursue prison terms of up to five years for serious violations.
• Administrative Powers: Most controversially, the bill allows authorities to block crypto-related websites via administrative orders.

Critics and the Presidential Veto

President Nawrocki previously blocked the bill in December, citing concerns that it threatened property rights, civil liberties, and legal stability. Critics and industry leaders have echoed these concerns, labeling the framework as one of the most restrictive in Europe.

Opponents highlight that the KNF already has a notoriously slow licensing process—averaging 30 months—which could drive local firms to relocate to more business-friendly EU jurisdictions.

Will the President Sign This Time?

During his campaign, President Nawrocki pledged to avoid "oppressive laws" that might stifle innovation. However, there are signs his stance may be softening. A government spokesperson recently noted that a classified security briefing provided the President with new insights into the bill's implications.

If the Senate passes the bill without further changes, the final decision will once again land on Nawrocki’s desk.

December 2025, Cryptoniteuae